I was a victim of the check scam before and I still do not understand how it can be possible.
Every check has numbers on it. Bank put a hold to verify the check, but still it pass.
How some counterfeit check can pass the verification if the numbers are not real?
Anyone understand this?
Here is a blog post that I did on this topichttp://scamvictimsunited.blogspot.com/2 ... -they.html
The reason these scams work so well is because the average American believes (as I did before I was scammed) that the bank actually CHECKS and VERIFIES that the cashier's check is legitimate BEFORE the cash it/deposit it into your account/allow you to use the money. That is NOT the case.
When you deposit a check into your bank account, your bank advances you the money for that check to keep the wheels of commerce moving. Of the millions and millions of checks processed every day, a relatively small number are returned because of a problem; because of this, banks and credit unions must automatically credit depositor accounts within a certain number of days.
A bank or credit union can make an exception to the rule and wait for a longer period of time on any given deposit before crediting the depositor account, but apart from such an exception the credit is automatic. Again, this wording gives the customer a false sense of security about the authenticity of the document in question.
This credit to your account is called a “provisional loan” and is actually a no-signature loan from your bank to you. It does not mean that your bank has been credited by the account holder bank. If your bank HAS extended you a “provisional loan” and you normally had a very low account balance, or had been the type of customer who would be denied a loan if you apply for one with your bank, you should know that their are some scam victims who have fought back against their banks using this as their case.The only time the money in your account really belongs to you is when the check or money order has been HONORED, meaning your bank has been credited (paid) by the account holder bank.